The Prevalence of Informal Work and Labour
Chapter 4: The shadow economy in developing and transition economies
For the casual observer, what appears to be instantly apparent is that the shadow economy is not evenly distributed across the globe. For example, it is obvious to anybody from a developed nation visiting some developing or transition economies that the shadow economy appears to be more prevalent than in their home nation. It is the case, however, that developing and transition economies do not all have shadow economies of the same magnitude. There are significant variations in the size of the shadow economy not only across different global regions but also across different developing countries within each region. The aim of this chapter is to begin to chart these variations in the magnitude of the shadow economy across the developing and transition economies. To do this, we here employ the most commonly used of all indirect measurement methods, namely the MIMIC method. Having outlined in some detail in Chapter 2 how this method derives its estimates, this chapter reports the findings in relation to developing and transition economies. First, therefore, this chapter charts the variations in the size of the shadow economy across global regions so as to show the broad variations across the world in the prevalence of the shadow economy. Having identified these global regional variations, the second section of this chapter then turns its attention to outlining the variations in the size of the shadow economy between countries.
You are not authenticated to view the full text of this chapter or article.
Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.
Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.
Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.